Good growth for Changi Airport in 1H07

in both passenger traffic and connectivity in the first half of 2007. More than

17.7 million passengers passed through Changi Airport in the first six months

of the year, representing a 5.4% increase over the same period last year.

In March and June 2007, monthly passenger traffic crossed the 3 million mark, with approximately 3.1 million passenger movements registered in each month. June, which coincides with the school holidays, saw more than 100,000 passengers at Changi Airport almost daily.

On top of passenger traffic growth, connectivity at Changi Airport has also improved in the past six months. Five new cities have joined Changi Airport’s growing network, namely Udon Thani in Thailand, Tiruchirapally in India, Atlanta in the United States, Nairobi in Kenya and Budapest in Hungary. Hungary and Kenya are also new country links for Changi Airport. Currently, Changi Airport is served by 79 airlines via 4,180 weekly scheduled service to 185 cities in 59 countries.

Mr Lim Kim Choon, Director-General/CEO, Civil Aviation Authority of Singapore said, "Last year, Changi Airport handled a record 35.03 million passengers. With the steady growth of passengers through Changi Airport in the first six months this year, we look forward to setting new records for passenger traffic in 2007."

On Changi Airport's growing connectivity, Mr Lim said, "The new city links bare testament to Singapore's growing connectivity and strengthening position as an air hub. Later this year, we also look forward to welcoming new carriers such as Etihad Airways to the Changi network. CAAS will continue to work to attract new and existing airlines to connect Singapore to unserved and underserved points, and reinforce Singapore's position as the preferred regional air hub."

Want more analysis like this? CAPA Membership gives you access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.Find out more and take a free trial.

You may also be interested in the following articles...

On 25-Oct-2016 the UK government announced its support for a new runway at London Heathrow Airport. There is still a lengthy set of processes to be observed before a new runway at Heathrow can finally be built. Moreover, opponents are likely to fight a fierce battle to try to prevent it. Even Heathrow Airport does not expect the runway to open before 2025. 2030 is more likely.

Airlines at Heathrow, led by British Airways and its parent IAG, have given a muted welcome to the UK government's decision. However, they are very clear that they do not wish to see airport charges increase as a result. IAG in particular has long been adamant that it will not pay for the expansion through tariff increases at Heathrow. The airport is among the most expensive in the world and its aeronautical yield rose 2.5 times from 2007 to 2014.

The UK government has set its aim on keeping landing charges close to current levels. Heathrow CEO John Holland-Kaye said that the expansion would provide an airport that is fair and affordable; but history suggests that the airport and its leading airline may define these terms differently. However, as this report demonstrates, IAG has other hubs and other airlines that give it alternative growth options.

The latest investment in the Monarch Group by its majority shareholder Greybull Capital avoided the loss of its ATOL licences and the possible suspension of operations. Moreover, it has given Monarch the opportunity to bridge the gap between now and the planned delivery of the first of its new 30 Boeing 737MAX aircraft in 2018.

Nevertheless, Monarch continues to face significant challenges. Europe's short/medium-haul markets are feeling significant downward pressure on unit revenue – particularly in the leisure markets that Monarch serves. This is due to overcapacity and concerns about terrorism in key Monarch markets. Brexit and the sharp devaluation of GBP (it has fallen by 30% against the EUR over the past 12 months) are further challenges for the LCC.

Although Monarch quickly quashed rumours of its financial difficulties in late Sep-2016 and then secured new funds, its commentary indicated that its profit for the year to Oct-2016 would be lower than in the previous year. It has an uneven track record of profitability and has often flown with close to empty cash reserves. Those reserves have been partially replenished, but only sustainable improvements in profitability will avoid the need for further cash calls in the future.